Bibliography
by PRASHANT SHAH -
(In alphabetical order) Aby, Carroll D. J. Point & Figure Charting: The Complete Guide. Grinville, SC: Traders Press Inc., 1996. Bollinger, John. Bollinger on Bollinger Bands. New York, NY: McGraw-Hill, 2002. Bulkowski, Thomas N. Encyclopedia of Chart Patterns. New York, NY: John Wiley & Sons, Inc., 2000. Carney, Scott M. Harmonic Trading, Volume One: Profiting ... Read more
OBV P&F
by PRASHANT SHAH -
Volume Indicator P&F Charts On Balance Volume, invented by Joseph Granville, is a most basic volume indicator. It adds the volume to the previous total when price rises, else it is deducted. OBV indicator calculated on usual charts when plotted using Point & Figure method becomes very simple to read due to the clear and ... Read more
P&F of Indicators
by PRASHANT SHAH -
Indicator as Point & Figure A 14-day RSI is a popular indicator on bar and candlestick charts. Same indicator plotted in P&F charts is featured below. Figure 11.3.1: Nifty 14 day RSI line chart and 2% x 3 Point & Figure chart This way, noise of RSI indicator can be removed and plotted for reading ... Read more
Turtle Trading on P&F
by PRASHANT SHAH -
There are a lot of books and write-ups on Turtle trading system. Legendary traders Richard Dennis and William Eckhardt conducted the turtle experiment in 1983. I recommend to search for the Turtle method online, if you are not aware of it. It is a must-read story. Turtle is a complete trading system along with money ... Read more
Weak Breakout
by PRASHANT SHAH -
Basic formations display breakout. If a bullish breakout lacks the strength to carry the move further and reverses immediately to form the column of ‘O’, it indicates the weakness in the pattern and demands further investigation. There is a possibility of false breakout and it can turn out to be the trap going forward. We ... Read more
Five-box Traps
by PRASHANT SHAH -
We discussed Trap formation in the section on major patterns. If weak breakout turns out to be a trap, it becomes a five-box trap. Image 2.7.10 explains it. It is a five-box Trap because the number of boxes in the column preceding the breakout is less than 5. If weak breakout is of just one ... Read more
